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Gas-price law ruled unconstitutional

By ASSOCIATED PRESS   Thursday, February 12, 2009 - 12:26 p.m.
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MADISON — A federal judge has ruled that Wisconsin’s minimum markup on gas is unconstitutional.

State law makes it illegal for retailers to sell gasoline without marking it up either 6 percent over what they paid or 9.18 percent over the average wholesale price, whichever is higher. The law, passed in 1939, was intended to ensure fair competition and prevent larger companies from marking their gas down to drive smaller competitors out of business.

Flying J. Inc., a Utah corporation that runs travel plazas in Black River Falls and Oak Creek, sued last year to make the state stop enforcing the law.

Rudolph T. Randa, chief judge for the Eastern District of Wisconsin, ruled Wednesday that the law violates prohibitions against restraint of trade.

Spokesmen for the state Justice and Agriculture, Trade and Consumer Protection departments said their attorneys were still reviewing the decision. But Justice Department spokesman Bill Cosh said the agency wouldn’t bring any enforcement actions while Randa’s order stands.

Gov. Jim Doyle said the decision would help consumers. “That’s fine with me,” the governor said. “I don’t see any reason why it (the law) should apply to gasoline.”




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(48)
SuperDave
Feb 17, 2009 at 8:50 a.m.
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rooster said "super dave no one really cares. the posts people make leave them feeling good about saying something because no one is going to change anyones mind anyway. the humor and sarcasm are the best part of the posts. at least, in my humble opinion."
Well I care, as do many others. I also believe that people change their minds about various things all the time! Persuasion is kind of the point of most discourse, no? I do agree with you that humour is good, and sometimes sarcasm can best make your point. Spreading misinformation, however, is just pointless.

whybesad
Feb 15, 2009 at 3:29 p.m.
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Wow Doyle actually made some sense.

jviers77
Feb 13, 2009 at 11:39 a.m.
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dqandhallie...
*
it's obvious you're not interested in facts unless it fits your agenda. And, by your agenda I mean whatever Rush Limbaugh tells you your agenda should be. And, what in the name of all that's holy does the teachers union have to do with this story? You're once again completely off topic and making us dumber as we read your posts.

crafty
Feb 13, 2009 at 9:34 a.m.
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The conservatives have had NO power since 2006. Liberals, your nice soft media cushion is flattening. What is your new strategy?

rooster
Feb 13, 2009 at 8:19 a.m.
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super dave no one really cares. the posts people make leave them feeling good about saying something because no one is going to change anyones mind anyway. the humor and sarcasm are the best part of the posts. at least, in my humble opinion.

jimbofish
Feb 13, 2009 at 6:24 a.m.
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dqandhallie...Your statement about the stock market is ridiculous. If it's relevant to Obama, then it's also relevant to Bush. Look where it went the first FOUR years of Junior's term.

http://finance.yahoo.com/echarts?s=^DJI#...

stoutt66
Feb 12, 2009 at 8:52 p.m.
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Arndt's Mini Mart is run by a family from Milton and has been for close to 30 years!

coffeeman
Feb 12, 2009 at 7:37 p.m.
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Tell me where local gas stations are run by Mom and Pops anymore anyway. I think Davis Citgo is still run by a Mom and Pop but they are full service and prices are much higher than other stations in the city. They are surviving. Even if a local person runs the station, the gas is still operated by Citgo, Mobil, Shell, etc. The price is no longer determined by oil prices. If it was, we would be paying less than a $1.00 a gallon. Speculators determine the price of gas. When we were paying 85 cents a gallon for gas, I was making a lot less money. It all weighs out. Inflation has not kepted up with gas prices. If it had, we would be paying over $7.00 a gallon when compared to a can of Pepsi, a pizza, a loaf of bread, etc, etc. AT least now we have a chance to see lower prices. The competition could be interesting.

crafty
Feb 12, 2009 at 5:57 p.m.
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nice...just keep putting the little man out of business.

janesvillean
Feb 12, 2009 at 5:52 p.m.
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dqandhallie, you are aware that EACH PRESIDENT gets to appoint federal judges? For the record, since 1947, Democrats have controlled the White House for 26 years, and Republicans for 36 years. But most Presidents have an opportunity to appoint somewhat less than half of the judiciary if they serve for eight years. Currently, 311 George W. Bush appointees serve. There are still 71 federal judges who were appointed by Reagan, and Randa was appointed by George H.W. Bush.
http://www.msnbc.msn.com/id/28681850/

joeflint
Feb 12, 2009 at 5:48 p.m.
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Thank you werpknarly (& others) for mentioning the historical fact that laws like this were written precisely because of monopolies like Standard Oil. There's a reason that the famous game of the same name was created in the mid 30s.

joeflint
Feb 12, 2009 at 5:44 p.m.
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The markets have been going down since the day he was elected? According to the DJIA, the big selloff was in late September and the market has been relatively stuck between 8000 and 9000 points since. Please.

In fact, at 8000 points the DJIA is where it was at in 1998 and 2003. By most estimates, the long-term trend should have the DJIA at about 7000 here in 2009. Meaning, the bubbles (tech and housing) have finally burst. Duh.

And I *truly* find it hilarious that the law-and-order, strict constructionist folk around here suddenly are please that a judge has effectively legislated from the bench. omg!!!!!111one!!111! I thought only bad librul judges did that!

SuperDave
Feb 12, 2009 at 5:20 p.m.
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rooster said "for those that don't get it (probably liberals) the 1947 post was a joke and a rather funny one at that. the only mistruth might be the birthdays. everything else seems to make perfect sense".
The "only mistruth" was key to the post making any sense. Funny otherwise, but at least let's get the facts straight. If everyone justs posts BS then why bother? Hillary's birthday is 10/26/47 btw (not that I'll be sending flowers).

monica53548
Feb 12, 2009 at 5:04 p.m.
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At a time when our economy is at best shakey, and that's putting it mildly, reversing this law is going to drive the last nail in the coffin for a lot of the smaller gas stations all over the state. I spent over ten years working in the liquor business in this town, on the retail side, so I know all about state minimum mark-up laws. As annoying as they are, they really do serve a purpose. The great customer service that you depend on from those small locally owned businesses? Getting rid of minimum mark-up requirements will be the end of that, because those businesses won't be able to contine to compete with the "big boys." The minimum mark-ups are what help level the playing field. So, keep that in mind when you're cheering for this "victory."

rooster
Feb 12, 2009 at 4:52 p.m.
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for those that don't get it (probably liberals) the 1947 post was a joke and a rather funny one at that. the only mistruth might be the birthdays. everything else seems to make perfect sense.

miltonalum
Feb 12, 2009 at 4:26 p.m.
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Dont you people realize that this is only going to hurt prices in the long run, Big corps can dive on prices until mom and pop are out of business, then set their own market prices. This was a good law to keep the average joe gas station competative with the kwik trips and BP's of the state.

puffer
Feb 12, 2009 at 4:10 p.m.
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Doesn't WI also have a minimum markup for retail also?

softail96
Feb 12, 2009 at 4:07 p.m.
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dqandhallie
I do think you have to get you facts straight:
Albert A. Gore, Jr. 3/31/1948 (only one that fits your profile)
Hillary Rodham 12/26/1947
John F. Kerry 12/11/1943
William J. Clinton 8/19/1946
Howard Dean 11/17/1948
Nancy Pelosi 3/26/1940
Dianne Feinstein 6/22/1933
Charles E. Schumer 11/23/1950
Barbara Boxer 11/11/1940

Now for the ones you left off your list:
Donald Rumsfield 7/9/1932
Dick Cheney 1/30/1941
George W. Bush 7/6/1946
Dan Quayle 2/4/1947
Bill O'Reilly 9/10/1949
Rush Limbaugh 1/12/1951
Condoleezza Rice 11/14/1954

Now, back to the subject, I was not naive enough to think that no matter who got elected, McCain or Obama, that this financial mess would be anything close to be being fixed in their first term, let alone in the first month!

gwendt
Feb 12, 2009 at 4:01 p.m.
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werpknarly - you're right on.!!!!!

werpknarly
Feb 12, 2009 at 3:48 p.m.
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WHY? "to protect small business" now Flying J can pick and chose where to drop prices below cost, drive out local competition, then raise the price. Many people i know who live in whitewater tell me that its cheaper to shop walmart in janesville vs. whitewater. WHY? no competition in whitewater. ALSO there has ALWAYS been a provision in the law that allowed a retailer to match local a competitor. How soon we forget STANARD OIL..that is why this law was passed. Do we really want monopolies running the country? more so than today?

ja67
Feb 12, 2009 at 3:35 p.m.
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They didn't worry about when we had gas wars, when the oil companies drop their prices back in the 60's.

ja67
Feb 12, 2009 at 3:27 p.m.
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I agree that it took 70 years to figure this out. It shows where the greed is, The State of Wisconsin.

stoutt66
Feb 12, 2009 at 3:26 p.m.
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This law won't change much except for the occassional Gas war from big gas stations. All of the gas stations sell for the same because people hunt for bargains. If the gas station across the street is 5 cents more where do you pull in and pump your gas? Regardless of what this law says I know many gas stations that never get more than 10 cents per gallon profit, and in times like this, they get even less. So at 1.99 per gallon a 10 cent profit is only 5%. My worry is that little independant gas stations like Arndt's Mini Mart in Milton won't be able to battle with the Citgo's and Kwik Trips of the world!

Class action?

dqandhallie
Feb 12, 2009 at 3:13 p.m.
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jviers77 than why did doyle veto this all the time are the teachers unions in that much of need for baby sitters ( teachers aids) to do there work that they need this money?

Zippy_TPH
Feb 12, 2009 at 3:01 p.m.
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And it only took 70 years to decide this? Will wonders ever cease?

red58
Feb 12, 2009 at 2:59 p.m.
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Something else goes on in Janesville. Has anyone else ever wondered why almost all the gas stations sell gas at the same price?

jviers77
Feb 12, 2009 at 2:50 p.m.
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dqandhallie...??
*
This really isn't a liberal vs. conservative issue...as another poster pointed out, both sides have fought for and against this law almost since it was put in place. Your comments not only didn't add to this topic, but we've all now become dumber for having read them. Thank you.

jviers77
Feb 12, 2009 at 2:47 p.m.
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This will likely have little impact on gas prices if upheld. Wisconsin continues to have some of the highest gas taxes in the nation. The worst thing that could happen out of this, though, is that we could see the end of independent filling stations who can't afford to give away their fuel for a penny profit per gallon.

dqandhallie
Feb 12, 2009 at 2:42 p.m.
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1947

Some of you will recall that on July 8, 1947, a little over 60 years ago, witnesses claim that an unidentified flying object (UFO) with aliens aboard crashed onto a sheep and cattle ranch just outside Roswell, New Mexico. This is a well known incident that many say has long been covered up by the U.S.
Air Force and other federal agencies and organizations.

However, what you may NOT know is that in the month of April 1948, nine months after that historic day, the following people were born:

Albert A. Gore, Jr.

Hillary Rodham

John F. Kerry

William J. Clinton

Howard Dean

Nancy Pelosi

Dianne Feinstein

Charles E. Schumer

Barbara Boxer

See what happens when aliens breed with sheep?

I certainly hope this bit of information clears up a lot of things for you.

It did for me.

No wonder they support the bill to help illegal aliens!

Now You Know.

rooster
Feb 12, 2009 at 2:29 p.m.
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all obama wants is the mighty trillion and a half dollar. wise up

gwendt
Feb 12, 2009 at 2:11 p.m.
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?????? havent people figured out yet that BIG BUSINESS is running the Republican Party? they don't want Obama to look good, they just want the ALMIGHTY DOLLAR

rooster
Feb 12, 2009 at 2:09 p.m.
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i can't wait to see the gas wars this causes.

dqandhallie
Feb 12, 2009 at 2:04 p.m.
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has anyone looked at the markets today? it looks to me that Obama is getting what he wanted CHANGE the markets started to dive the day he was elected and have not rebounded sence.

dqandhallie
Feb 12, 2009 at 1:59 p.m.
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has anybody figured out why Doyle does not get it? private comanys lay off emplyees or fire the useless ones when there is no money coming in, I'M sure we all can think of so state employees that are just setting on there thumbs pulling in tax payers money.

Carrisford
Feb 12, 2009 at 1:57 p.m.
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Hmm...Phil Woodman has been trying to get this law removed for eons (and was constantly getting fined for his creative ways around the rule that never quite worked). I wonder what his lawyers argued differently (or if he was always before different judges).

gwendt
Feb 12, 2009 at 1:54 p.m.
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and according to the article, we will end up with only the main oil companies with gas stations. Hope they put in extended waiting lanes !!

dqandhallie
Feb 12, 2009 at 1:53 p.m.
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now that oil has droped on the markets so gas you would think would go down --not so as Doyle is seeking to rase the taxes on our lifes blood,go Doyle you @$$

frusion
Feb 12, 2009 at 1:53 p.m.
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Janesville has some of the highest gas around. I work in Madison and even the gas stations right off the interstate are cheaper than Janesville--why is that?

marymac4
Feb 12, 2009 at 1:37 p.m.
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Most likely go up...

Nero
Feb 12, 2009 at 1:23 p.m.
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Regardless of your political persuasion, you can hardly blame any sitting politician for the law being on the books. It was instituted in 1939. Yes, that 1939 when we were declaring Amelia Earhart dead and watching Europe tear itself apart in the opening strikes of WWII.

Read all about it here:
http://www.wpri.org/Reports/Volume21/Vol...

Liberal and conservative alike have tried to get it repealed. Both parties have also fought to keep it.

RichE95
Feb 12, 2009 at 1:11 p.m.
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I hope the judge's ruling stands. This is not a partisan issue. Legislators and Governors of both parties have maintained this regressive pricing and an uncompetitive environment.

Macdaddy
Feb 12, 2009 at 1:08 p.m.
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ironically, the gas prices around town just went up this morning...hmm...

minihowie
Feb 12, 2009 at 1:06 p.m.
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So I wonder if we'll start seeing gas prices drop because of this?

DrTalk
Feb 12, 2009 at 12:51 p.m.
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It's about time!

went4milk
Feb 12, 2009 at 12:41 p.m.
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Boy, I always like that Judge Rudolph T. Randa. My kind of guy. Many times the State Senate & Assembly voted to uphold this terrible law. Now a judge has done the right thing.

dqandhallie
Feb 12, 2009 at 12:31 p.m.
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finaily a judge that is not the lib's pocket.

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